Used-vehicle-only retailers and some of the six publicly traded dealership groups in their latest quarters said they favored boosting gross profit per used vehicle they retailed and not necessarily growing sales volume.
For used-retail giant CarMax Inc., keeping gross profit per vehicle stable was a priority, CEO Bill Nash said last month. Online used-vehicle retailers Carvana Co. and Vroom Inc. also said they swapped sales volume growth — which they chased as the e-commerce used-vehicle market heated up in 2020 and 2021 — to work on improving per-vehicle gross profit.
One of the public groups, Asbury Automotive Group Inc., said it focused on profitability in its used-vehicle side of the business.
"We just determined that it didn't make sense to chase volume," CEO David Hult said during Asbury's earnings call on April 25.